The New Orleans BioFund, which was created in order to support small businesses in the region, has announced that the organization has now allocated $3 million to businesses since the end of 2012. The BioFund has fully disbursed its initial funding to 15 companies in New Orleans.
The BioFund operates out of the New Orleans BioInnovation Center.
As a program within the New Orleans BioInnovation Center, the BioFund focuses specifically on life sciences startups in the area. Over the years, the fund has provided up to $250,000 in funding to small businesses in a 12-parish region in southeastern Louisiana.
The BioFund has also supported companies across numerous industries including food service, consumer goods, and manufacturing.
“Our fund helps local early stage companies overcome a critical funding gap,” said managing director Kris Khalil. “The capital we provide helps businesses achieve milestones, hire new team members, and position themselves not only for growth but for additional follow-on investments.”
In a new twist to its funding methods, the BioFund will now transition into a micro-venture capital model in which startups can receive either equity or debt funding to support business growth. Capital offerings will now include equity investments, convertible debt instruments, and short-term loans.